Earnings Update: SI-BONE, Inc. (NASDAQ:SIBN) Just Reported Its First-Quarter Results And Analysts Are Updating Their Forecasts

SI-BONE, Inc. (NASDAQ:SIBN) investors will be delighted, with the company turning in some strong numbers with its latest results. Results overall were solid, with revenues arriving 4.8% better than analyst forecasts at US$47m. Higher revenues also resulted in substantially lower statutory losses which, at US$0.15 per share, were 4.8% smaller than the analysts expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Taking into account the latest results, the current consensus from SI-BONE's nine analysts is for revenues of US$195.8m in 2025. This would reflect a decent 11% increase on its revenue over the past 12 months. Per-share losses are predicted to creep up to US$0.64. Before this earnings announcement, the analysts had been modelling revenues of US$194.3m and losses of US$0.68 per share in 2025. It looks like there's been a modest increase in sentiment in the recent updates, with the analysts becoming a bit more optimistic in their predictions for losses per share, even though the revenue numbers were unchanged.

See our latest analysis for SI-BONE

There's been no major changes to the consensus price target of US$24.67, suggesting that reduced loss estimates are not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic SI-BONE analyst has a price target of US$32.00 per share, while the most pessimistic values it at US$19.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the SI-BONE's past performance and to peers in the same industry. It's pretty clear that there is an expectation that SI-BONE's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 15% growth on an annualised basis. This is compared to a historical growth rate of 20% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 8.1% annually. Even after the forecast slowdown in growth, it seems obvious that SI-BONE is also expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$24.67, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for SI-BONE going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 2 warning signs for SI-BONE you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.